Markets end higher as RBI keeps policy rates unchanged, ITC and banks lead recovery

Mumbai: Stock markets closed higher on Friday after the Reserve Bank of India kept its benchmark interest rate unchanged as expected and proposed allowing banks to lend to Real Estate Investment Trusts (REITs) with certain prudential safeguards to deepen the financing pool for the real estate sector.

Helped by fag-end buying, the 30-share BSE Sensex advanced 266.47 points or 0.32 per cent to settle at 83,580.40 in a volatile session.

The 50-share NSE Nifty climbed 50.90 points or 0.20 per cent to end at 25,693.70.

From the Sensex firms, ITC jumped the most by 5.09 per cent. Kotak Mahindra Bank, Hindustan Unilever, Bharti Airtel, Bajaj Finance, Power Grid and Bajaj Finserv were among the other major gainers.

Tata Consultancy Services, Tech Mahindra, Adani Ports, Asian Paints, Eternal and HCL Tech were among the major laggards.

Among sectoral indices, BSE FMCG jumped the most by 2.05 per cent, followed by telecommunication (0.91 per cent), power (0.64 per cent), realty (0.63 per cent), energy (0.45 per cent), consumer durables (0.44 per cent0 and capital goods (0.41 per cent).

BSE Focused IT tanked 1.71 per cent. IT (1.41 per cent), services (0.87 per cent), PSU Bank (0.50 per cent), and auto (0.26 per cent) also closed lower.

The rupee declined 31 paise to settle at 90.65 against the US dollar on Friday, weighed down by geopolitical uncertainties over the US-Iran talks, and a sharp rise in global crude oil prices..